I very stupidly got into some post Chapter 7 BK debt. My BK was filed in April 2006 and discharged in July 2008. So I should have been free and clear with a fresh start, right? I don't know how I did it, but obviously I was living beyond my means. I was scammed out of 2,200 in an advance loan fee scam, but that only explains about 10% of my total post BK debt, which is about 25K. I know, how the hell did you do that? Really, really dumb. I'm not into gambling or any kind of substance abuse, I just made some really bad decisions in the last couple years.
I actually solved most of my PDL problems and the credit cards are conolidated with Town & Country, so that's not really that bad. The really ugly part is the following:
1. Brookwood loans @ 96% interest. $2600 loan taken out in May, and I haven't made a payment yet. The payments are $238 per month and the balanced has ballooned to almost $3200 and is growing exponentially. The original term was 24 months. T & C has been unable to help with this at all.
2. Think Cash - $2100 balance on a 96% installment loan with payments of $96.21 due every two weeks - that's over $195/month. I haven't made a payment since May. T & C has been unable to help with this as well.
3. Cash Call - 20 more monthly payments of $217, 96% interest. Payoff balance is about $2100. I was barely over 30 dyas past due and they threatened to take me to arbitration ( I failed to opt out of the arbitrtion clause within the first 60 days of the loan, so they can/could do that). I am current on this, but only because i made a payment in July and they brought me current because they were about to take me to arbitration. T & C could not help.
4. Prosper.com loans. I have two of them.
One has about a $3500 balance with monthly payments of $179, but I'm three months past due. The second has about a $4400 balance, $204/month, and am over 3 months behind. They have 27% and 36% interest rates respectively. I feel very badly about these, because they were individual lenders (regular people who pool their money to lend). The first one I was doing pretty well on for the first 12 months. I was on time for one year. But then everything craashed at once about April/May when I really started having problems. The second one I was only about 6 months into a 36 month loan. Both loans are over 3 years.
I only take home about $2100/month, and simply cannot afford these payments, together with the credit cards, etc. Obviously, I can't file BK 2 years after a ch 7. T & C cannot help with the above loans. They can only help with credit cards and payday loans (getting the interest rates reduced, re-aging, etc.). It's the above loans that have had to take a back seat the last three months while I got the credit card and PDL situation straightened out, along with a few bounced checks. So now I'm in deep doo doo with the above loans and not sure what I'm going to do.
I'm wondering if I should try debt settlement with someone like Superior debt relief. I don't know if they can help with the above lenders. Or, should I contact my BK attorney and see if he can help with post BK debt in trying to avoid law suits and holding these people at bay - maybe even negotiate lower rates, buy some time, lower the payments, re-age?? But I don't know if BK attorneys are the best people to handle debt negotiation/settlement? This guy is a sole practitioner.
By signing up for counseling session, your provided details (Name, Email ID and Phone No.) will be forwarded to the company advertising on the DebtCC. However, you have no obligation to use their services.
Some creditors and collection agencies refuse to lower the pay off amount, interest rate, and fees owed by the consumer.
Creditors/collection agencies can make collection calls and file lawsuits against the consumers represented by the debt relief companies.
Debt relief services may have a negative impact on the consumer's creditworthiness and his overall debt amount may increase due to the accumulation of extra fees.
The amount which the consumer saves with the use of debt relief services can be regarded as taxable income.